Business Briefing

Published 10:00 pm, Thursday, May 18, 2006

NATIONAL NEWS

High-profile New York firm charged in kickback scheme

LOS ANGELES -- One of the nation's highest-profile class-action law firms was charged Thursday with a scheme that paid more than $11 million in kickbacks to get people to take part in shareholder lawsuits.

The law firm and attorneys David Bershad and Steven Schulman were charged with secretly paying about $2.4 million to Seymour Lazar, a Palm Springs lawyer, and others to act as class-action plaintiffs since 1981 and concealing the payments. Lazar was also named in the indictment along with Paul Selzer, another lawyer.

Indicators index suggests slower economic growth

The Conference Board, a private research group, reported Thursday that its Index of Leading Economic Indicators fell 0.1 percent to 138.9 last month. Economists were predicting a small rise. In March the index climbed 0.4 percent to 139.

The index is closely watched because it predicts economic activity over the next three to six months.

EARNINGS NEWS

First-quarter profit drops for clothing retailer Gap

SAN FRANCISCO -- Gap Inc.'s first-quarter profit fell by 17 percent, dragged down by a deepening sales slump that has underscored the clothing retailer's inability to keep up with fickle fashion tastes.

The San Francisco-based company said Thursday that it earned $242 million, or 28 cents per share, for the three months ended April 29. That compared with net income of $291 million, or 31 cents per share, a year ago.

Barnes & Noble profit up, same-stores dip slightly

NEW YORK -- Barnes & Noble Inc., reported on Thursday a slight increase in first-quarter profit.

For the three-month period ended April 29, Barnes & Noble earned $9.99 million, or 14 cents per share, up from $9.91 million, or 13 cents per share, in the year-ago period. Revenue rose to $1.114 billion from $1.097 billion in the year-ago period.

NEW TOP OFFICERS

Woodinville-based LOUD Technologies named Michael MacDonald as interim senior vice president of domestic sales. In addition to his duties, MacDonald will also be responsible for recruiting a permanent senior vice president later this year.

, based in Bothell, announced that Michael Stewart, senior vice president and chief medical officer, will retire June 1. Assuming his duties are Elaine Waller, vice president of regulatory affairs and quality assurance; and Richard Daifuku, vice president of preclinical and clinical research, who also will be acting chief medical officer. Stewart will remain as a consultant.